Is the global smartphone 5G “replacement tide” coming?Chinese mobile phone companies lead the 5G trend

On a global scale, all 5G dual-mode mobile phones that have been released are all Chinese brands. Chinese mobile phone companies are leading the global 5G mobile phone development direction and trend, and 5G mobile phones have become the focus of mobile phone manufacturers.

Recently, dual-mode 5G mobile phones have become a hot spot for competition among major domestic mobile phone manufacturers. With the rapid advancement of operators in the construction of 5G base stations, 5G mobile phones have become the biggest focus of the mobile phone market. Entering December, major mobile phone brands have continuously launched new 5G mobile phones, and the prices of 5G mobile phones have also continued to hit new lows.

5G mobile phones have put forward updated requirements for antennas, cameras, connectors, chips, etc. At present, relevant listed companies in the mobile phone industry chain have expanded production to respond. With the arrival of the 5G commercial era, good news has recently led to the rise of concept stocks such as 5G and Huawei, especially since last week, concept stocks such as Huawei have continued to rise for 8 consecutive trading days.

1

Intensive release of dual-mode 5G mobile phones

On December 10, Xiaomi released the Redmi K30 series of 5G mobile phones. The market price is set at 1999 yuan, making it the first dual-mode 5G mobile phone with a market price of less than 2,000 yuan. On November 26 and December 5, Huawei successively released two dual-mode mobile phones, Honor V30 and Nova 6, with prices starting at 3,299 yuan, bringing 5G competition from high-end flagships to the field of mid-range models.

Lu Weibing, Vice President of Xiaomi Group: At present, there are several major problems with 5G. First, the price of 5G is very expensive; second, the tariff of 5G is still considered to be a bit high; third, the coverage of 5G network is not very complete; fourth, 5G is very important, we call it Killer, a killer Level applications have not yet come out. Then I think that to solve the core source of these four major difficulties, we must first reduce the price of the terminal.

Is the global smartphone 5G “replacement tide” coming?Chinese mobile phone companies lead the 5G trend

Since the launch of 5G commercial use in June this year, major mobile phone manufacturers have released a number of new 5G products. Huawei, Xiaomi, OPPO, vivo and other new 5G phones will continue to appear, and the price will also drop from the initial five to six thousand yuan. To three or four thousand yuan, the price of 5G mobile phones is constantly being refreshed.

OPPO Chief 5G Scientist Tang Hai: We will release an NSSA dual-mode 5G mobile phone in the Chinese market in December this year. After the middle of next year, as the scale of 5G mobile phones increases in volume, the entire price should continue to decline.

Xu Qi, chief marketing officer of realme mobile phone brand: In the era of 5G, I think there will be more killer applications, such as some cloud games, some smarter and interconnected IoT (Internet of Things) products, and even some more HD live broadcast and so on. Therefore, the changes in these technologies will further encourage everyone to carry out 5G replacement. In fact, next year will be a big year for 5G, and we are fully prepared to switch to 5G across the board.

According to the forecast of the Ministry of Industry and Information Technology, in the 5G market, direct output will reach 480 billion, 3.3 trillion, and 6.3 trillion in 2020, 2025, and 2030, respectively. There will be more indirect output, with indirect output reaching 1.2 trillion, 6.3 trillion, and 10.6 trillion in 2020, 2025, and 2030, respectively.

2

Global smartphones may welcome the wave of 5G replacement

5G has the characteristics of high speed and low latency. How to make sufficient space for 5G terminal performance has become a problem for the industry. Ye Jinchun, who has been engaged in under-screen fingerprint research and development for many years, told reporters that after years of hard work, their optimized solution has greatly saved the internal space of 5G mobile phones.

Ye Jinchun, Vice President of R&D Department of Shenzhen Goodix Technology Co., Ltd.: Our ultra-thin under-screen optical fingerprint chip module can still support production and assembly methods that are not directly attached to the display. This method of production and assembly has greatly improved the production yield of our complete machine plant, and for our upstream and downstream customers and suppliers, it has actually greatly reduced its production difficulty and cost.

2019 is the first year of 5G commercial use. As the industry cycle changes, new industrial machines will emerge. The upstream industry chain of mobile phones is expected to usher in new opportunities, especially camera optics, power semiconductors, and PCB boards. Xu Fangzhen told reporters that they provide solutions for smart terminals, and major chip vendors will launch mid-to-low-end 5G products next year.

Xu Fangzhen, deputy general manager of Waterward Group: The main chip is now about five or six hundred yuan, and the corresponding cameras and memory will use the highest-end. These costs are very expensive, depending on the level of research and development of each chip vendor’s platform. All platforms we know are planning for mid-range or low-end 5G products, which will be launched next year.

Industry insiders believe that, driven by 5G, the pace of smartphone innovation is accelerating. 5G technological change + camera innovation + software and hardware upgrades will promote the global smartphone replacement boom, and the downward trend in sales will usher in a turning point. For upstream and downstream companies in the mobile phone industry chain, orders for key components such as mobile phone panels, screens, cameras, and batteries are expected to increase significantly.

Zhao Qixiang, Secretary of the Board of Directors of Shenghong Technology (Huizhou) Co., Ltd.: The cost of this product is about 40% higher than that of 4G. First, its materials are high-speed and high-frequency materials; second, its processing difficulty and manufacturing process difficulty are much higher than 4G. This year’s production capacity is only about 30,000 square meters of HDI (High Density Interconnect Board), and our entire production capacity next year will be about 60,000 square meters of HDI, of which 30,000 square meters are prepared for 5G mobile phones.

3

5G index outperforms Shanghai Composite Index

Wind data shows that 90 of the 5G concept listed companies have significantly outperformed the Shanghai Composite Index in 2019, of which 13 outperformed more than 100%. The mobile phone industry chain is the brighter part of the entire 5G market.

Chen Hang, chief analyst of Founder Securities’ technology industry: At present, the entire 5G sector is showing three major trends. First, the PCB sector with a large increase in the early stage has begun to perform less than before, because PCB belongs to the pre-construction cycle of 5G; second, TWS wireless headsets, VR (virtual reality), AR (augmented reality) and other pan-IoT (Internet of Things) The application sector is very eye-catching; thirdly, the performance of the core semiconductor chip supply chain behind 5G is also very eye-catching.

Judging from the stock price performance of 70 5G concept stocks investigated by institutions during the year, the average increase was as high as 49.19%. Industry insiders said that with the rapid decline in the price of 5G mobile phones and the advancement of the construction of 5G base stations, 5G mobile phones will accelerate the popularization and drive the release of industry chain performance.

Liu Yan, General Manager of Anjue Capital: If 5G is completely built successfully, basically all mobile phones now have to be replaced with 5G mobile phones. This is a very large amount. Basically all 4G mobile phones now have to be eliminated, which is of great significance. Large, equivalent to the previous transition from analog TV to digital TV and LCD TV, which is a very large industry.

Since the beginning of this year, 5G concept stocks have long been focused on by institutions. According to statistics from Eastern Fortune Choice, a total of 70 5G concept stocks have been investigated by institutions since the beginning of this year, and a total of 3,656 surveys have been conducted.

On a global scale, all 5G dual-mode mobile phones that have been released are all Chinese brands. Chinese mobile phone companies are leading the global 5G mobile phone development direction and trend, and 5G mobile phones have become the focus of mobile phone manufacturers.

Recently, dual-mode 5G mobile phones have become a hot spot for competition among major domestic mobile phone manufacturers. With the rapid advancement of operators in the construction of 5G base stations, 5G mobile phones have become the biggest focus of the mobile phone market. Entering December, major mobile phone brands have continuously launched new 5G mobile phones, and the prices of 5G mobile phones have also continued to hit new lows.

5G mobile phones have put forward updated requirements for antennas, cameras, connectors, chips, etc. At present, relevant listed companies in the mobile phone industry chain have expanded production to respond. With the arrival of the 5G commercial era, good news has recently led to the rise of concept stocks such as 5G and Huawei, especially since last week, concept stocks such as Huawei have continued to rise for 8 consecutive trading days.

1

Intensive release of dual-mode 5G mobile phones

On December 10, Xiaomi released the Redmi K30 series of 5G mobile phones. The market price is set at 1999 yuan, making it the first dual-mode 5G mobile phone with a market price of less than 2,000 yuan. On November 26 and December 5, Huawei successively released two dual-mode mobile phones, Honor V30 and Nova 6, with prices starting at 3,299 yuan, bringing 5G competition from high-end flagships to the field of mid-range models.

Lu Weibing, Vice President of Xiaomi Group: At present, there are several major problems with 5G. First, the price of 5G is very expensive; second, the tariff of 5G is still considered to be a bit high; third, the coverage of 5G network is not very complete; fourth, 5G is very important, we call it Killer, a killer Level applications have not yet come out. Then I think that to solve the core source of these four major difficulties, we must first reduce the price of the terminal.

Is the global smartphone 5G “replacement tide” coming?Chinese mobile phone companies lead the 5G trend

Since the launch of 5G commercial use in June this year, major mobile phone manufacturers have released a number of new 5G products. Huawei, Xiaomi, OPPO, vivo and other new 5G phones will continue to appear, and the price will also drop from the initial five to six thousand yuan. To three or four thousand yuan, the price of 5G mobile phones is constantly being refreshed.

OPPO Chief 5G Scientist Tang Hai: We will release an NSSA dual-mode 5G mobile phone in the Chinese market in December this year. After the middle of next year, as the scale of 5G mobile phones increases in volume, the entire price should continue to decline.

Xu Qi, chief marketing officer of realme mobile phone brand: In the era of 5G, I think there will be more killer applications, such as some cloud games, some smarter and interconnected IoT (Internet of Things) products, and even some more HD live broadcast and so on. Therefore, the changes in these technologies will further encourage everyone to carry out 5G replacement. In fact, next year will be a big year for 5G, and we are fully prepared to switch to 5G across the board.

According to the forecast of the Ministry of Industry and Information Technology, in the 5G market, direct output will reach 480 billion, 3.3 trillion, and 6.3 trillion in 2020, 2025, and 2030, respectively. There will be more indirect output, with indirect output reaching 1.2 trillion, 6.3 trillion, and 10.6 trillion in 2020, 2025, and 2030, respectively.

2

Global smartphones may welcome the wave of 5G replacement

5G has the characteristics of high speed and low latency. How to make sufficient space for 5G terminal performance has become a problem for the industry. Ye Jinchun, who has been engaged in under-screen fingerprint research and development for many years, told reporters that after years of hard work, their optimized solution has greatly saved the internal space of 5G mobile phones.

Ye Jinchun, Vice President of R&D Department of Shenzhen Goodix Technology Co., Ltd.: Our ultra-thin under-screen optical fingerprint chip module can still support production and assembly methods that are not directly attached to the display. This method of production and assembly has greatly improved the production yield of our complete machine plant, and for our upstream and downstream customers and suppliers, it has actually greatly reduced its production difficulty and cost.

2019 is the first year of 5G commercial use. As the industry cycle changes, new industrial machines will emerge. The upstream industry chain of mobile phones is expected to usher in new opportunities, especially camera optics, power semiconductors, and PCB boards. Xu Fangzhen told reporters that they provide solutions for smart terminals, and major chip vendors will launch mid-to-low-end 5G products next year.

Xu Fangzhen, deputy general manager of Waterward Group: The main chip is now about five or six hundred yuan, and the corresponding cameras and memory will use the highest-end. These costs are very expensive, depending on the level of research and development of each chip vendor’s platform. All platforms we know are planning for mid-range or low-end 5G products, which will be launched next year.

Industry insiders believe that, driven by 5G, the pace of smartphone innovation is accelerating. 5G technological change + camera innovation + software and hardware upgrades will promote the global smartphone replacement boom, and the downward trend in sales will usher in a turning point. For upstream and downstream companies in the mobile phone industry chain, orders for key components such as mobile phone panels, screens, cameras, and batteries are expected to increase significantly.

Zhao Qixiang, Secretary of the Board of Directors of Shenghong Technology (Huizhou) Co., Ltd.: The cost of this product is about 40% higher than that of 4G. First, its materials are high-speed and high-frequency materials; second, its processing difficulty and manufacturing process difficulty are much higher than 4G. This year’s production capacity is only about 30,000 square meters of HDI (High Density Interconnect Board), and our entire production capacity next year will be about 60,000 square meters of HDI, of which 30,000 square meters are prepared for 5G mobile phones.

3

5G index outperforms Shanghai Composite Index

Wind data shows that 90 of the 5G concept listed companies have significantly outperformed the Shanghai Composite Index in 2019, of which 13 outperformed more than 100%. The mobile phone industry chain is the brighter part of the entire 5G market.

Chen Hang, chief analyst of Founder Securities’ technology industry: At present, the entire 5G sector is showing three major trends. First, the PCB sector with a large increase in the early stage has begun to perform less than before, because PCB belongs to the pre-construction cycle of 5G; second, TWS wireless headsets, VR (virtual reality), AR (augmented reality) and other pan-IoT (Internet of Things) The application sector is very eye-catching; thirdly, the performance of the core semiconductor chip supply chain behind 5G is also very eye-catching.

Judging from the stock price performance of 70 5G concept stocks investigated by institutions during the year, the average increase was as high as 49.19%. Industry insiders said that with the rapid decline in the price of 5G mobile phones and the advancement of the construction of 5G base stations, 5G mobile phones will accelerate the popularization and drive the release of industry chain performance.

Liu Yan, General Manager of Anjue Capital: If 5G is completely built successfully, basically all mobile phones now have to be replaced with 5G mobile phones. This is a very large amount. Basically all 4G mobile phones now have to be eliminated, which is of great significance. Large, equivalent to the previous transition from analog TV to digital TV and LCD TV, which is a very large industry.

Since the beginning of this year, 5G concept stocks have long been focused on by institutions. According to statistics from Eastern Fortune Choice, a total of 70 5G concept stocks have been investigated by institutions since the beginning of this year, and a total of 3,656 surveys have been conducted.

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Author: Yoyokuo